The federal government has told most provinces and territories they must cut the slots allocated for economic immigration programs in half this year, raising concerns about drastic impacts on jobs and the economy.
Provincial nomination programs (PNP) are used by all provinces and territories except Quebec and Nunavut. The 11 jurisdictions with PNP seats have been told they will receive a 50 percent reduction by 2025.
“We are quite reliant on that program. Our employers are quite reliant on it,” Drew Wilby, Saskatchewan’s deputy immigration minister, told CBC News. “It’s obviously our main driver of economic immigration.”
Saskatchewan’s share of the program will be reduced to 3,625 positions, its lowest number since 2009. Wilby says the province was not consulted about the cuts before they were announced.
The move is part of an overall cut to immigration targets. Ottawa announced in October that it would reduce the projected number of new permanent residents to 395,000 in 2025, down from 485,000. It is planning further cuts to 380,000 in 2026 and 365,000 in 2027.
PNPs are aimed at workers who have the skills to contribute to the economy of a specific province or territory and wish to become permanent residents in Canada. Each province and territory has its own currents and requirements.
In a statement to CBC News, a spokesperson for Ontario’s Immigration Department said the reductions undermine “the province’s ability to meet employer demands and support economic growth.”
Many of the affected jurisdictions say they are still trying to determine how they will handle these changes.
In a statement issued Tuesday, the Yukon government said Ottawa’s announcement led the territory to indefinitely delay accepting its first PNP cohort this year.
“This is to allow more time to further consider the program’s approach to accepting and processing applications in 2025, to ensure this limited allocation is used strategically to address the pressing needs of the Yukon labor market,” he said.
Yukon also said its program will no longer accept applications from employers in rural communities.
The federal government is cutting the number of new permanent and temporary residents that will be welcomed into Canada as part of what has been described as a “dramatic overhaul” of its immigration plan. Andrew Chang explains the reasons behind the government’s stated aim to halt population growth by ending the struggle to keep up with the post-pandemic population boom.
Linnea Blum, marketing and communications manager for the territory’s Department of Economic Development, told CBC News in a statement that Yukon had the highest employment rate in the country last year, as well as a vacancy rate that “has consistently been among the highest in Canada”.
“By reducing the number of foreigners who will make the Yukon their home through the nominee program, employers may struggle to fill positions critical to maintaining or growing their businesses,” Blum said.
A spokesperson for Alberta’s Immigration Department said in a statement to CBC News that “it is completely hypocritical” for Ottawa to reduce its overall immigration by 21 per cent but impose a 50 per cent reduction in provincial allocations. The measure takes away “greater decision-making autonomy from the provinces and territories.”

In an interview, New Brunswick Immigration Minister Jean-Claude D’Amours said trade, education and health care, the three sectors most dependent on the program in his province, are expected to fill 2,000 vacancies alone. in 2025.
“Imagine when the federal government will only allow us a maximum of 2,750 people,” he said.
He also took issue with the new stipulation that 75 per cent of nominees already be in Canada, noting that New Brunswick’s rate last year was 89 per cent.
“We are already above what the federal government is asking for,” he said. “They didn’t take the time to look at our reality.”
Ottawa says it is willing to work with provinces
In a statement, federal Immigration Minister Marc Miller’s office said PNP allocations are determined “in consultation with the provinces and territories.”
He said “admissions targets have been lowered in all categories.”
The statement added that “it is at the discretion of provinces to use their PNP allocation to help meet the needs of their communities, and not all provinces or territories use 100 per cent of their allocation each year.”
The office said Miller has informed provinces about “the potential opportunity for additional allocation, especially for provinces committed to immediately collaborating on shared priorities, such as supporting asylum seekers.”
Immigration experts said the reduction also raises other issues.
Aidan Simardone, a Toronto-based immigration lawyer, told CBC News that the PNP is a path for both newcomers to Canada and those already here to seek permanent residency.
“These programs exist to give people flexibility,” he said. “[The cuts] “This will mean that more people who are here will have to find different ways to stay.”
He said that increases the possibility that some immigration consultants will defraud vulnerable immigrants.
Kareem El-Assal, a immigration policy analyst Previously on the Conference Board of Canada, he also said the government is imposing restrictions on provinces and territories.
“A territory like Yukon or the Northwest Territories does not welcome many international students or foreign workers,” he said, adding that they need the availability of a larger pool of talent that may still be outside of Canada.
“The federal government should not paint all provinces with the same brush.”